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Vivo Ships 5.8 Million Smartphones To Indian In Q2 2019

Posted by Canalys

“Vivo’s growth-stamina is commendable,” said Canalys Analyst Shengtao Jin. “Its current trajectory would see it
displace Samsung by the end of 2019, dealing a major blow to the Korean vendor. However, Samsung has now
completed a disruptive portfolio refresh, which has positioned it to fight harder for share with tight margins.”

Vivo focuses on the market for smartphones priced in the range of INR 10,000 to INR 15,000. Its top shipping
smartphones this quarter were the Vivo Y17 and the Vivo Y91, which shipped over
1.5 million units in Q2 2019.

“The decline in the market is not a cause of worry,” said Rushabh Doshi, Research Director at Canalys. “However,
the lack of growth is against the expectation of several major vendors. Feature phone users are not taking to
smartphones as quickly as the industry had expected and the bulk of growth in the Indian smartphone market is
now coming from users who are upgrading their devices to a US$200 (~INR 15,000) or even a US$300 (~INR
20,000) smartphone. India must now brace for further sluggish volume growth, as vendors stop focusing on sub10,000 INR (~US$150) devices and move on to beef up 10,000 INR (~US$150) to 20,000 INR (~US$300) portfolios. However, the silver lining to this shift will be a brisk uptick in ASPs.”

The market continues to consolidate about the top ve vendors. They accounted for 88% of the market this
quarter, versus 80% a year ago.

CT Bureau


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